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EUR/USD trims losses on solid PMI numbers

FXstreet.com (London) - EUR/USD has pegged back some losses after strong Markit Eurozone manufacturing PMI numbers. EUR/USD is currently trading at USD1.3726, rebounding from a session low of USD1.3716.

31-month high for Eurozone PMI

Eurozone manufacturing PMI rose for the third month running to post 52.7 in December, up from 51.6 in November, in line with the earlier flash estimate.

France was the one rotten apple in the basket, dropping from 48.4 in November to 47.0, its lowest level in seven months. Output, new orders, employment and stocks of purchases all accelerated declines. New orders received by French manufacturers fell for a third consecutive month in December, with the rate of decline accelerating to the fastest since April.

Even Greece posted relatively positive news. Higher levels of output and new orders elevated its PMI to a 52-month high at 49.6 – a 52-month high and close to posting growth.

US could add to EUR/USD gains

EUR/USD remains down 0.26 percent on the day, declining from a high of USD1.3760 to USD1.3717. The pair is currently trading at USD1.3726, however, a more robust recovery could come from the pair when US manufacturing PMIs are released later today, with expectations of a decline to 56.8 from November’s three-year high of 57.3.

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